Most Loan Management Systems (LMS) were built around a specific mental model: one borrower, one loan account, one repayment schedule, and a fixed end date. That model handles term loans well, and personal loans, mortgage-style products, and working capital term facilities without much strain. Buy Now Pay Later for business lending (B2B BNPL) operates on […]
Why BNPL Lenders Need a Different LMS Than Traditional Term Loan Providers
When a borrower takes a 36-month personal loan, the Loan Management System (LMS) tracking it has a relatively predictable job. One disbursement, a fixed Equated Monthly Instalment (EMI) schedule, a reducing balance, and a clear Days Past Due (DPD) clock if a payment slips. The system knows what to expect from day one. Buy Now […]
Embedded Finance Security: Challenges & Solutions
The traditional banking setup has seen a complete overhaul with increasing technological advancements. It may seem like a new world, from loans in 59 minutes to digital wallets. All this has been made possible by embedded finance, which allows the integration of financial services into non-financial services. Its ecosystem is anticipated to grow at a […]
5 Ways B2B BNPL Benefits Lenders and What Lies Road Ahead
Like most emerging economies, India’s financial ecosystem is evolving rapidly and adapting to changing consumer requirements, regulations, and technologies. The B2B BNPL (Buy Now Pay Later) trend has quickly caught up with Indian consumers, primarily driven by the need for convenience and seamless access to credit. A barrage of BNPL startups has entered the Indian […]
How Is Technology Vital for the Positive Growth of BNPL Providers
The Buy Now Pay Later (BNPL) option, also known as interest-free loans, became exceedingly popular during the Covid-19 pandemic. Reports suggest BNPL services are expected to cross USD 7000 million in 2022 in India; 22% of consumers bought goods using this option. BNPL services are popular among the young, tech-savvy population and also those who […]
Can Banks Become a Part of the B2B BNPL Market?
The Micro, Small, and Medium Enterprises (MSME) sector requires small- to medium-scale credit with quick approval times and reasonable interest rates. It is generally difficult for these companies to provide collateral to procure loans. No wonder the business-to-business (B2B) buy now, pay later (BNPL) scheme has become a major boon for these companies. This scheme […]